MNI China Press Digest May 06: Stocks, Commodities, France

Highlights from Chinese press reports on Monday:

• China stocks could continue trending upward driven by the CPC Politburo meeting's positive tone in late April and the U.S. Federal Reserve's more dovish stance, Securities Times reported citing analysts. Global funds have a strong willingness to allocate to Chinese assets with risk appetite increasing significantly, said CITIC Securities. The Hang Seng Index also surged for nine consecutive days, while the Nasdaq China Golden Dragon Index set a new closing high since November with a cumulative rise of over 8% over May 1-3, the newspaper said.
• The China Commodity Price Index reached 115.4 points in April, up 3% m/m and down 0.4% y/y, according to the China Federation of Logistics and Purchasing (CFLP). Authorities' implementation of macroeconomic policy to drive domestic demand was gradually emerging as the CBPI had risen for two consecutive months, a CFLP representative said. Simultaneously, the nonferrous and chemical price index increased in April, providing strong support for the PPI index going forward. (Source: Securities Daily)
• President Xi plans to exchange views with President Macron on the development of China-French and China-European relations as well as major international and regional issues, according to a written speech delivered upon arrival in Paris. Xinhua, a state news agency, said Sino-French trade has grown 5.9% on average annually since 2019, with France a major source for Beijing’s imports of airplanes and aircraft parts. China imported CNY46.95 billion of agricultural products from France in 2023, up 50.5% over 2019 and more than any other EU nation.